Mr Vittakarn says the popularity of Bangkok condos among buyers in Hong Kong, China, Taiwan and Singapore is rising because of the attractive capital gains generated.

HONG KONG: SET-listed developer AP Thailand Plc expects continued growth in condo sales from foreign roadshows after recording 4 billion baht in 2017, up 500% year-on-year, led by buyers in Hong Kong.

Vittakarn Chandavimol, chief of the business group for condominiums, said the popularity of Bangkok condos among buyers in Hong Kong, China, Taiwan and Singapore is rising because they generate attractive capital gains and higher yields than property in their own countries.

"Thailand has potential for property investment," he said at a press conference last Tuesday in Hong Kong. "The Bangkok condo market will remain attractive as the government develops new mass transit lines and infrastructure projects."

One of those projects will be Grand Bang Sue Central Station, which will become the largest train station in Southeast Asia and a Bangkok property hub, Mr Vittakarn said.

"Thai property has seen highs and lows like during the 1997 financial crisis, the opening of the BTS in 1999, the MRT in 2004 and the Hamburger [financial] crisis in 2008," Mr Vittakarn said. "[The sector] is still on the rise."

Bangkok Citismart Co (BC), a property agency firm owned by AP, said average condo prices in Bangkok rise 6-8% annually, depending on location.

A 10% rise in condo price is possible in locations where a new mass transit line or an extension line is under construction, like those along Phahon Yothin Road from the Lat Phrao intersection to Saphan Mai, said Kayon Tantichatiwat, BC managing director.

"The BTS and MRT are good points of reference in Hong Kong and Singapore, as most buyers who are frequent travellers in Bangkok are familiar with these mass transit lines," he said.

AP started selling new condo projects abroad in 2015.

AP has appointed BC to introduce its condo projects in Singapore, Hong Kong and Tokyo.

Last year, sales in those countries and China by BC and local agents soared to 4 billion baht from three new condo projects, accounting for 30% of the combined sales value.

This amount also represented 40% of total sales (9.7 billion baht) and included walk-in foreign buyers in Bangkok, Mr Kayon said.

Buyers in Hong Kong accounted for 40% of related sales last year, followed by China (30%), Japan (15%) and Singapore (10%).

Mr Kayon said buyers in Hong Kong were mostly middle-class people who wanted to invest in property but could not afford to at home. Those buyers, on average, were looking for a condo in Bangkok priced below 5 million baht.

AP aims to generate 4.5 billion baht from condo sales abroad by year-end.

AP shares closed Friday on the Stock Exchange of Thailand at 9.05 baht, up 20 satang, in trade worth 64.5 million baht.